HEERLEN, Netherlands - DocMorris, a prominent online pharmacy, reported a significant increase in prescription (Rx) revenue for the third quarter of 2024. The company saw Rx revenue grow by 12.2% in local currency compared to the same period last year, with a notable acceleration to over 25% growth in recent weeks. This surge is attributed to the successful uptake of e-prescriptions, which has more than offset the decline in traditional paper prescriptions.
The company also recorded a modest 1.9% growth in over-the-counter (OTC) medicine sales, aligning with their strategic focus on profitability. The positive trend in Rx sales is partly due to the convenience offered by the DocMorris app, which allows for simple prescription redemption and next-day delivery—a service enhancement that has led to an increase in new Rx customers and repeat orders.
In addition to the Rx business, DocMorris' TeleClinic service, a key component of its health ecosystem, doubled its revenue in the third quarter compared to the previous year. The Europe segment, encompassing operations in Spain, France, and Portugal, also experienced a revenue increase of 7.4% in local currency over the previous year.
Overall, the Group's external revenue grew by 4.9% in local currency to CHF 265.7 million, with active customer numbers rising by 200,000 to a total of 10.2 million at the end of September.
In executive news, Pablo Ros Gomez is set to become the new Chief Technology Officer (CTO) starting from November 1, 2024. He succeeds Madhu Nutakki, who is leaving the company after over three years of service. Gomez, with extensive experience in the company's technology and product divisions, is anticipated to continue the development of DocMorris' technology and data platform.
In an effort to streamline operations, DocMorris will close its logistics site in Halle, Germany, by the end of the year, consolidating its online customer supply chain to the Heerlen center. The "Zur Rose" brand will subsequently be phased out.
Looking ahead, DocMorris has reaffirmed its 2024 targets, which include a 5 to 10% increase in external revenue—encompassing e-prescriptions—and an adjusted EBITDA of around minus CHF 50 million. Capital expenditures are projected to be around CHF 30 million. This article is based on a press release statement.
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